Due to SC laws requiring Probate, an attorney has recommended creating a Trust. Should IRAs be included in the Trust? My husband started RMD in 2012 and I will begin RMD in 2013. Should life insurance policies, HO insurance also be included in a Trust?

It appears you know nothing beyond "The lawyer said to." You need to ask a lot more questions. If you understood the purpose of the trust you wouldn't be asking these questions.

I don't share Gordon's cynicism about lawyers. I set up and funded my trust for less than $300, and that was with a lawyer, not DIY. (It was also 10 years ago.)

So, go back to the lawyer and ask:

1. Why a trust?2. What should go into the trust; what should stay out?3. What happens when the first spouse dies?4. What happens when the second spouse dies?5. Why in the world do I have life insurance? (OK, that question is mine, directed to you.)

And since not all lawyers are really good with tax law, no, do not name the trust as the beneficiary of your IRA.

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